Coventry increases gross mortgage lending by 19%
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The Coventry Building Society has reported gross mortgage lending of £1.9bn in the first six months of the year, up from £1.6bn in the same period last year.
The society has today revealed a pre-tax profit of £45m, up from £42.5m in the first six months of 2010.
Net mortgage lending totalled £846m, with the average LTV ratio on advances made to date in 2011 at 53.6%.
At June 30 2011, 0.79% of mortgage balances were 2.5% or more in arrears, with impairment charges totalling £4m from a loan book of £18.4bn.
In its results the society says it did consider if it should bid for Northern Rock, but after careful consideration, the board concluded that to do so would not be in the interest of its members at this time.
David Stewart, chief executive of Coventry, says: “Coventry Building Society continues to perform extremely strongly. Underlying profit before tax increased by 10% to £51.1m, during a period in which the society’s net mortgage lending was equivalent to 25% of the market as a whole.
“Retail balances also increased to a new record level and the society’s strong funding position was supported by a successful debut in the covered bond market, raising £750m from institutional investors.
“These excellent results demonstrate Coventry’s consistent strength in what remains an uncertain environment.”
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Readers' comments (4)
John Lacy | 5 Aug 2011 8:47 am
Not difficult to see why they are doing so well. They've got good deals, well trained helpful staff and the intention to be helpful if at all possible.
Perhaps Santander, Halfax and HSBC should take note.
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Anonymous | 5 Aug 2011 10:02 am
Funny how a lender who doesn't dual price, gives adequate notice of withdrawals and employs helpful staff is doing so well.
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Sod Rewart | 5 Aug 2011 11:00 am
Lets see where they are in a few years shall we, lending the most certainly doesnt mean the best does it!!! Havent we all learned that from previous experience???
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Richard Rouse | 5 Aug 2011 2:08 pm
Well, 'Sod Rewart', given that Coventry has one of the lowest levels of arrears and impairments in the market suggests that their experience is pretty good.
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